Direct Digital’s (DRCT) “Buy” Rating Reaffirmed at Benchmark

Direct Digital (NASDAQ:DRCT)‘s stock had its “buy” rating reaffirmed by equities researchers at Benchmark in a research report issued to clients and investors on Wednesday, Benzinga reports. They presently have a $23.00 price objective on the stock. Benchmark’s target price would suggest a potential upside of 275.82% from the company’s current price.

DRCT has been the topic of several other reports. TheStreet lowered shares of Direct Digital from a “c” rating to a “d+” rating in a report on Wednesday, February 14th. Noble Financial reaffirmed a “market perform” rating on shares of Direct Digital in a research note on Wednesday, March 27th. Finally, Roth Mkm lowered their target price on Direct Digital from $27.50 to $19.00 and set a “buy” rating for the company in a report on Wednesday, March 27th.

Direct Digital Price Performance

DRCT stock opened at $6.12 on Wednesday. Direct Digital has a 52-week low of $1.96 and a 52-week high of $35.88. The company has a quick ratio of 1.16, a current ratio of 1.16 and a debt-to-equity ratio of 3.51. The stock has a market cap of $87.33 million, a price-to-earnings ratio of 43.71 and a beta of 7.91. The business has a fifty day moving average of $17.61 and a two-hundred day moving average of $12.06.

Direct Digital (NASDAQ:DRCT) last issued its quarterly earnings data on Tuesday, March 26th. The company reported ($0.08) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.36). The business had revenue of $41.01 million for the quarter, compared to analyst estimates of $66.02 million. Direct Digital had a return on equity of 48.38% and a net margin of 1.26%. During the same period in the previous year, the business posted $0.01 earnings per share. As a group, research analysts anticipate that Direct Digital will post 0.16 earnings per share for the current year.

Hedge Funds Weigh In On Direct Digital

Several hedge funds and other institutional investors have recently added to or reduced their stakes in DRCT. Denali Advisors LLC acquired a new stake in shares of Direct Digital in the fourth quarter valued at $359,000. Raymond James & Associates acquired a new position in shares of Direct Digital during the fourth quarter worth about $404,000. Warberg Asset Management LLC purchased a new stake in shares of Direct Digital during the third quarter worth approximately $76,000. Perritt Capital Management Inc. raised its holdings in Direct Digital by 31.2% in the third quarter. Perritt Capital Management Inc. now owns 52,480 shares of the company’s stock valued at $134,000 after acquiring an additional 12,480 shares in the last quarter. Finally, Intrinsic Edge Capital Management LLC purchased a new position in Direct Digital in the fourth quarter worth approximately $1,155,000. Hedge funds and other institutional investors own 4.02% of the company’s stock.

Direct Digital Company Profile

Direct Digital Holdings, Inc operates as an end-to-end full-service programmatic advertising platform. The company's platform primarily focuses on providing advertising technology, data-driven campaign optimization, and other solutions to underserved and less efficient markets on both the buy- and sell-side of the digital advertising ecosystem.